A food company in Osogbo, Osun State, Nigeria, has unexpectedly shut down, leaving customers demanding refunds for prepaid orders. The company sold rice, cooking oil, spaghetti, and semovita at heavily discounted prices, attracting customers from across the state. Customers claim they paid upfront for food packages that were not delivered. The company's sudden closure has caused panic among hundreds of residents who made advance payments.

The company operated an advance-order system, where customers paid upfront and were told to return in about seven days to collect their goods. A 50kg bag of rice was sold for between ₦20,000 and ₦30,000, against a market price of ₦60,000 to ₦70,000. A carton of Indomie was sold for between ₦5,000 and ₦7,000, against about ₦14,000. Some earlier customers received their orders, building confidence in the business and drawing in more people.

On Monday, police officers were deployed to the company's premises in the Odi-Olowo area of Osogbo to maintain order as customers protested. The customers are calling on the authorities to investigate and help them recover their money. The company's operators are reportedly unreachable, and the shop was found empty on the day many were due to collect their orders.

The number of affected customers and the total amount paid have not been independently confirmed. Social media posts circulating since Monday put the figures at "hundreds" of residents and "millions" of naira, but these claims have not been verified. The company's name has not been confirmed, and it is not clear whether any complaints have been formally lodged.

According to reports, the company's sudden closure has caused widespread panic among residents in Osogbo. Many had paid large sums of money expecting food packages that were not delivered. The incident has raised concerns about the safety of advance-payment systems and the need for regulatory oversight.

As of the time of this report, the company has not issued a statement, and there is no publicly available comment from the Osun State Police Command or the state government. The police officers, reportedly arriving in six trucks, were at the premises to keep order while the customers protested.

The incident has sparked outrage on social media, with many calling for the authorities to take action. The company's sudden closure has left many customers feeling deceived and frustrated. The incident highlights the need for caution when making advance payments to companies, especially those offering heavily discounted prices.

Key points

  • Customers in Osogbo are demanding refunds after a food company suddenly stopped operating without fulfilling prepaid orders.
  • The company sold food items at heavily discounted prices, attracting customers from across Osun State.
  • The incident has sparked outrage on social media, with many calling for the authorities to investigate and take action.

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SaharaWire Newsroom
SaharaWire

Reporting for SaharaWire from the Nairobi bureau.